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I just completed an installation that I've encrypted my home directory on, and got the dialog box inviting me to record my encryption passphrase. I don't see any possible benefit to doing this; if I need to recover my data from outside this Ubuntu installation, I can do so by unwrapping the passphrase with my login password (in fact, I just did this after my last installation died on me). On the other hand, anyone who gained access to the encryption passphrase would be able to use it to decrypt my data.

Is there any good reason to record the passphrase?

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The passphrase unwrapper unwraps from a file stored on your system, likely in /home/.ecryptfs. It's just prudent to have another, off-system copy of this single point of failure for all your user data.

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